St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1887-05-21
THE INTERSTATE LAW.
Testimony Taken by the Commits
sion Yesterday.

WASHINGTON, May 20.-Before the
interstate commission, illustrating the
effect of Clipper ship competition, Mr..
Stubs said that barley was carried by
water from San Francisco to New York
and shipped back to Chicago. The
Southern Pacific charged high local
IateS on produce from San Francisco to
Nevada points for the purpose of aiding
the local agricultural interests of Ne
vada, which would otherwise have been
crushed. In explanation of the 80 cents
sugar rate from San Francisco to the
Missouri river, Stubs said it was
question of markets as well as trans
portation competition. If they could
have Hawaiian raw sugar refined in San
Francisco instead of letting it go by
water to New York it would be bene-
cial for the roads. for it would develOpe
other traffic i'll which they were inter-
eSted.
The Chairman-Haying the purpose
in view as the leading object of building
up the manufacturers at San Francisco.
WITHSTAND the railroads.
Continuing, he said the roads found
they must adopt q fifty cent rate on raw
sugar. ''Why?" inquired the chair.
man. Witness explained that the pro-
uuCClS COulu llUU pay ulOIt. TIC
HaWain producerS?' asked Commits
lean, or German, or EngliSh?"
Witness-l suppose the idea is to
show that it is Claus Spreckels, but this
is a mistake. He does not control it.
There are several of these producers,
but l cannot tell you who they are.
AS to California wool, witness did not
think there was any truth in the COM
plant referred to by the chairman. 1t
was brought East at a rate less than the
cost OF transportation in order to favor
California wool growers. Hubbs eX-
planned at great length the method of
adjusting local rates as praeticed before
the passage OF the law, and endeaY0reu
to show how the law affected that prac-
tice. He denied making a. new tariff
under the law. His company adopted
the highest local rate as the through
rate. $500
Witness said the distance over the
Union and Central Pacific (the shortest
line between San Francisco and the
Missouri river was 1915 miles. . MOrri-.
son wished to know how far
SAN FRANCISCO SUGAR
would have to travel over the Canadian
Pacific to reach Omaha. After some
calculations, witness estimated the dis
lance at $500 miles. The sugar, he said,
had gone over the long route at G5 cents
a hundred, although his system offered
to take it at Is cents over the shorter
route. He saw no reason why Western
roads should not be permitted to make
as low rates as Eastern roads to the
Missouri river. This he thought a suf-
iicient answer to the complaint of the
Eastern sugar refinerS that they could
not get their sugar into Western terri
tory. Commissioner Walker asked
witness what answer lie could make to
the charge made, that by their system
of rates the tranScontinental lines pre-
vented the growth Of amy manufacturing
interests OH the Pacific coast. Witness
said the rates had never been made in
the interest of any manufacturing in
tereSts. They resulted simply from
competition. Business must go. He
would not admit that the system of rates
tended to prevent any development of
local manufacturers.
Commissioner Walker-DO YOU con
slider the interests of any particular
manufacturing interests, OF do you look
out for No. 1? -.
WitneSS-S0 far as my relation to the
company is concerned look out for its
interests, but | think an enlightened
selfish view of the case would require a
company to care for the interests along
its line. 294F =
Commissioner Walker referred to
the complaints alleged to have been
made by California wool growers, and
asked il it was possible for them to ship
through to New York. Witness replied
that the general policy of his company
had been to admit competition only as
far as it exists. He meant that from
interior points in California they never
made a through rate. Rather than do so it
would be better to give up business.
Testimony upon the application closed,
and decision was reserved.